- The 'average player' hides your best and worst players.
- RFM is a simple, proven way to segment reinvestment.
- Daily allocation with feedback beats annual budgets.
The average-player trap
When reinvestment uses a few attributes over a short time window, high-value players get under-rewarded and bonus hunters get over-rewarded. Retention bonuses can eat a large share of the annual marketing budget with little to show for it.
Segment with RFM
RFM scores each player on three things:
- Recency: how recently they played or deposited.
- Frequency: how often they play.
- Monetary: how much revenue they generate.
Combined with demographics and gaming history, RFM produces four or five meaningful segments, each with its own reinvestment rule.
Allocate daily, learn continuously
With segments in place, retention spend can be allocated almost daily by RFM score. Each day's results feed back into the model, so allocation improves over time.
The result
For one of Asia's largest online card games providers, moving from average-player allocation to RFM-based reinvestment increased revenue by 5.33%.
Marketing Intelligence
GAMWIT Marketing Intelligence is a pre-built AI model for gaming operators that scores every player for churn risk and lifetime value, and measures the real return on bonuses and campaigns, so marketing teams spend less and retain more.
Explore Marketing Intelligence